Suffian J:

The Sarawak Government resumed under Pt IV of the Sarawak Land Code (Cap. 81) 19 parcels of lands "for the purposes of residential and industrial development and other public facilities in connection with the new port of Kuching." In due course enquiries Were held by the Superintendent of Lands and Surveys, First Division, Sarawak (the present appellant) to determine the compensation payable to the owners. We are not concerned with 17 parcels whose owners accepted the superintendent's award; we are only concerned with two parcels, lot No: 16178 (which I call the first lot) and lot 16179 (the second lot) whose owners, M/s. Aik Hoe & Co. Ltd (the present respondents) objected to the superintendent's award.

The owners are entitled by way of compensation to the market value of the lands on the agreed material date 1 April 1960 s. 60(1)(a); so the issue in this matter is simply this, what was their market value on that date. The superintendent decided it was $237,760 or about $5,460 per acre. On appeal by the owners, Harley J, in the Kuching High Court increased it to $607,000 or $13,900 per acre. The superintendent now appeals to this Court.

The first lot was tran